Winning favorable vote recommendations from the proxy advisors, ISS and Glass Lewis, certainly make a company’s annual shareholder meeting easier. However, when faced with an adverse vote recommendation, issuers should know there are still options on the table. The window for action is tight though, so preparing in advance is critical. Issuers can begin thinking through the following steps, so they can quickly move into action should there be opposition to any ballot items.
Conclusion
Receiving an adverse recommendation from ISS or Glass Lewis can be stress inducing, but utilizing advisors who are experienced in navigating similar situations will ensure the best possible outcome while allowing company personnel to focus on running the company’s core business.